Russia has solidified a consumer loan relief measure by enshrining in law the permanent right for citizens to request a credit holiday on non-mortgage loans. The official publication of the law confirms its enactment and its broader intent to guard borrowers facing difficult life circumstances. This marks a transition from temporary relief regimes to a stable, long-term policy framework that will shape how Russians manage debt during financial strain.
Previously, a temporary credit holiday regime existed with expiration dates tied to specific circumstances. The initial version was valid for a defined period up to September 30, 2020, offering borrowers a pause in payments. A separate sanction-related grace period was introduced to assist borrowers affected by international tensions, running from March 8, 2022 to September 30, 2022. These time-limited measures served as a bridge to broader protections but did not establish a permanent entitlement.
Starting January 1, 2024, the law places this protection on a permanent footing. Its core aim is to safeguard the rights of Russians whose livelihoods are disrupted by life events such as illness, unemployment, or other financial shocks. In practice, the law allows a borrower to request a six-month grace period for a loan, under conditions that the loan amount falls within government-defined limits. These limits are designed to keep the support targeted and financially sustainable for lenders as well.
As a matter of regulatory detail, the government sets indicative caps that apply until a ministerial decision on exact loan amounts is made. For automotive loans, the cap is projected at 1.6 million rubles. For other types of consumer loans, the limit sits at 450 thousand rubles. Credit card debt carries a separate limit of 150 thousand rubles. These figures are intended to establish a clear, predictable framework for both borrowers and lenders and to facilitate consistent access to relief across the country.
In the political and policy discourse surrounding this reform, there have been debates about the balance between consumer protection and credit market health. A prior discussion in the State Duma explored restrictions on lending to certain categories of borrowers, including foreign agents, highlighting ongoing concerns about risk management and the integrity of the credit system. The current law shifts the emphasis toward treating credit holidays as a standard option available to a broad segment of the population, while preserving safeguards that prevent overextension. [Source: Portal Legal Information]